Hey All,
Before we start, have a look at the wonderful thumbnail image above that I have created via my pro canva license that gives you more flexibility and different tool to edit images, videos and what not that you basically don't get for the free version of canva. Anyways moving forward in this blog post, I am going to share based on my experience the difference between a Pools DCA Vs Market DCA and you get to leverage all these features of it here on Dswap.Trade web application. If you follow my blog post here on HIVE then you would have already noticed many posts that I have created around Pools and Market DCA along with the analysis done for the tokens #colony and #sim that were purchased using these strategies. Refer some of those post here::
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DSWAP.TRADE - My First order with MARKET DCA [Dollar Cost Average] #sim Buying Analysis - What NeXt?
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DSWAP.TRADE - My FIRST Experience Leveraging Pools DCA - Placed #colony Token Order for 50 #hive... What NeXt?
The Key Differences Between Pools & Market DCA - DSWAP.TRADE...
Let me ask you this question first. Do you do DCA like a Pro Or Not? Incase not then I highly recommend leveraging the Dswap.Trade portal its simple to use and allows you to DCA many second layer tokens of the HIVE Blockchain along with many others too. Ok coming to the key difference between Pools & Market DCA is that""
Market DCA - where one can place smaller bid/ask market orders on the bid/ask market over time. Here orders get executed based on the price set on the market.
Pools DCA - here instead of market orders placed. We leverage the pools instead of market orders. The advantage here is that one is likely to get a good deal with the trade because there's more liquidity at the current price in pools than with bid/ask markets
So based on how the market order is executed we now know the difference between both these DCA [Dollar Cost Average] strategies - Market DCA, which involves direct periodic purchases, and where Pools DCA, which leverages automated swaps through liquidity pools. ITs that SIMPE. Now lets have a look at a table to get more familiarity and know the difference between these terminologies.
Feature | Market DCA | Pools DCA |
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Liquidity Use | No - direct market | Yes – swaps within pools like SWAP.HIVE/COLONY and other tokens |
Fees/Gas | Minimal; platform fees of 0.25% | Minimal; platform fee of 0.25% |
Best For | All type of users/investors accumulating assets directly | DeFi users seeking passive, automated exposure |
Execution Location | Centralized or Decentralized Exchanges | DeFi smart contracts and liquidity pools |
Manual vs Automated | Often manual or via CEX automation | Fully automated via smart contracts |
Flexibility | High – easy to change timing, edit, cancel or even asset | Medium – based on protocol parameters but here on dswap you have control on order to be cancelled. I have not tried though. |
Control | Full control over each buy | Less granular, but efficient over time |
I guess this should be it for todays post on - "DSWAP.TRADE: Pools DCA vs Market DCA – What’s the Real Difference? Let’s Dive IN..." & before I end this post, I will say try to explore Market and Pools DCA by placing a few small orders yourself and then you will truly understand its unique features and benefits. Let me know your thoughts around DWSAP.TRADE in general. How is the platform overall looking... Happy Investing and Dollar Cost Averaging..Better do DCA before its too late... cheers
Have Your Say On Pools and Market DCA...
Did you explore DSWAP.TRADE new feature Market DCA and Pools DCA? How was your experience?
DSWAP.TRADE: Pools DCA vs Market DCA – What’s the Real Difference? Let’s Dive In...
Do you HODL #colony token BUY Vs SELL? Did you leverage Pools DCA? Are you providing liquidity for COLONY/SWAP.HIVE pool giving an APR of above 45% - What is your overall strategy looking like for your #colony token? Please let me know in the comment section below...cheers
#dswap #dtrae #dca #market #poolsdca #arcadecolony #invennium #colony #marketdca #beeswap #liquiditypools #poolsvsmarket
Image Credits:: dswap.trade, hive-engine, beeswap
Best Regards
PS:- None of the above is a FINANCIAL Advice. Please DYOR; Do your own research. I've an interest in Stocks, Blockchain & Cryptos and have been investing in many emerging projects..